Will Your Retirement Income Keep Pace With Inflation?
Since people are living longer, a retirement income strategy that keeps pace with inflation is a challenge all retirees will face. Inflation reflects the pace at which goods and services rise over time, and due to inflation, your expenses will rise over time as well.
The average annual inflation rate from 1913-2012 was 3.34%.1 With a 3.34% annual inflation rate, $50,000 in expenses will cost $69,447 in 10 years, $96,458 in 20 years, and $133,975 in 30 years. If your expenses rise, will your current retirement income keep up?
Inflation Could Make Future Expenses Rise
Redefine your means in retirement.
So you can do more of what matters.
Many income annuities offer features to help provide features to help provide inflation protection. Talk to your advisor today about New York Life's retirement income solutions.